Department of Correctional Services settles R13m debt

Department of Correctional Services has reportedly settled its R13 million municipal bill owed to the City of Johannesburg.

DEPARTMENT OF CORRECTIONAL SERVICES FOOT THE MUNICIPAL BILL IN PRISON

This follows the City of Johannesburg’s aggressive cut-off operation on worse defaulters, which led to Leeuwkop Prison and Johannesburg Prison (also known as Sun City Prison) being cut off.

According to the City’s Group Chief Financial Officer, Tebogo Moraka, the Department of Correctional Services subsequently paid the full R9.8 million debt for Leeuwkop Prison and the remainder of about R3.2 million was paid towards the Johannesburg Prison on Saturday.

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He said the City was forced to shut down the water supply at Leeuwkop Prison last Friday over its huge outstanding debt, which has since been settled in full.

“As the City, we will continue to go on aggressive campaigns to collect the huge money that is owed to the City. Residents should understand that without them playing their part by paying for services they consume; we are unable to render services as a municipality. We are left with no choice but to cut our services to those who owe us.”Moroka

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CITY OF JOHANNESBURG CUTS OFF SERVICES AT OTHER INSTITUTIONS

Last week the City chased after its ten worst defaulters, which included a hotel, a prison, large residential estates, a private retirement village, panel beating business and large firms who collectively owe the City more than a whopping R104 million on unpaid services.  At the properties where the City found illegal electricity and water connections, the City swiftly removed all its infrastructure which included water and electricity meters and cables. 

Moraka said at one posh private Retirement village Estate in Northview, which the City visited, the management was able to find R7.7 million to pay the 30% of their enormous R25.6 million bill. This was after their water supply was cut last week due to non-payment as part of the aggressive credit control campaign.  Moraka said the Estate has since agreed to pay the remainder of the debt over a three-month period.

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CITY THREATENS ARREST TO PERSONS RECONNECTING DISCONNECTED SERVICES

The City has warned those who continually connect illegally to its water and electricity services, tamper or vandalise its critical infrastructure that they will face arrests.

“All property owners who are struggling to service their accounts for various reasons, are advised to approach the City for further assistance, by means of payment arrangements (Acknowledgement of Debt sign-off) to avoid disconnection of services,” Moroka advised.

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